Please ensure Javascript is enabled for purposes of website accessibility
Justice Department OKs T-Mobile's $26.5B Sprint Deal
gvw_ap_news
By Associated Press
Published 6 years ago on
July 26, 2019

Share

WASHINGTON — U.S. regulators are approving T-Mobile’s $26.5 billion takeover of rival Sprint, despite fears of higher prices and job cuts.

Sprint and T-Mobile combined would now approach the size of Verizon and AT&T. The companies have argued that bulking up will mean a better next-generation “5G” wireless network than they could make on their own.
Friday’s approval by the Justice Department and five state attorneys general comes after Sprint and T-Mobile agreed to conditions that would set up satellite-TV provider Dish as a fourth wireless company, so the number of major U.S. providers remains at four.
Dish is buying prepaid cellphone brands such as Boost and Virgin Mobile and some spectrum, or airwaves for wireless service, from the two companies. It will also be able to rent T-Mobile’s network for seven years while it builds its own. The Justice Department’s antitrust chief, Makan Delrahim, said the settlement sets up Dish “as a disruptive force in wireless.”
Sprint and T-Mobile combined would now approach the size of Verizon and AT&T. The companies have argued that bulking up will mean a better next-generation “5G” wireless network than they could make on their own.
The two companies tried to combine during the Obama administration but regulators rebuffed them. They resumed talks on combining once President Donald Trump took office, hoping for more industry-friendly regulators. The companies appealed to Trump’s desire for the U.S. to “win” a global 5G race with China as this faster, more reliable wireless is rolled out and applications are built for it.

FCC Conditions Did Not Address Problems of Merger

Meanwhile, the Republican-controlled Federal Communications Commission agreed in May to back the deal after T-Mobile promised to build out rural broadband and 5G, sell its Boost prepaid brand and keep prices on hold for three years
But public-interest advocates complained the FCC conditions did not address the problems of the merger — higher prices, less wireless competition — and would be difficult for regulators to enforce.
Attorneys general from 13 states and the District of Columbia then filed a lawsuit to block the deal. They say the promised benefits, such as better networks in rural areas and faster service overall, cannot be verified, while eliminating a major wireless company will immediately harm consumers by reducing g competition and driving up prices for cellphone service.
They may not be satisfied with the settlement and choose to press ahead.
A judge must also approve the Justice Department’s settlement.

DON'T MISS

What Are Fresno Real Estate Experts Predicting for 2025 and Beyond?

DON'T MISS

First California EV Mandates Hit Automakers This Year. Most Are Not Even Close

DON'T MISS

Virginia Giuffre, Voice in Epstein Sex Trafficking Scandal, Dies at 41

DON'T MISS

California Proposes Allowing Testing of Self-Driving Heavy-Duty Trucks

DON'T MISS

Higher Taxes on Millionaires? Trump Says He’s Open, but Many in His Party Are Not

DON'T MISS

Ex-US Rep. George Santos Sentenced to Over 7 Years in Prison for Fraud and Identity Theft

DON'T MISS

Selma Mayor Charged With Electioneering Violation on Election Day

DON'T MISS

Fresno Air Improves. Where Does It Rank in the US?

DON'T MISS

As Harris Ponders Run for CA Governor, Is She Prepared for the Daunting Job?

DON'T MISS

Stocks Rise With Tech-Related Shares, Notch Weekly Gains; Dollar Up

DON'T MISS

Conflicting US-China Talks Statements Add to Global Trade Confusion

DON'T MISS

Driving Near the Fresno Airport Next Week? Plan for Road Closures

UP NEXT

Fresno Air Improves. Where Does It Rank in the US?

UP NEXT

Exclusive: US Congress Republicans Seek $27 Billion for Golden Dome in Trump Tax Bill

UP NEXT

On Major Economic Decisions, Trump Blinks, and Then Blinks Again

UP NEXT

Chicago Bears Great Steve McMichael Dies at 67 After Battle With ALS

UP NEXT

Long Wait Is Over for Cam Ward, Travis Hunter and Other Draft Prospects Joining the NFL

UP NEXT

Golden State’s Jimmy Butler Injured in Game 2 Loss, His Status for Game 3 Unknown

UP NEXT

Jalen Green Makes Eight 3s to Help Rockets Even Series With Warriors

UP NEXT

US Justice Department Directs Investigations Over Gender-Affirming Care

UP NEXT

US Justice Department Cancels Hundreds of Grants for Police, Crime Victims

UP NEXT

Yelich’s 5th Career Slam and Bauers’ 2-Run Homer Power the Brewers to Win Over the Giants

Ex-US Rep. George Santos Sentenced to Over 7 Years in Prison for Fraud and Identity Theft

8 hours ago

Selma Mayor Charged With Electioneering Violation on Election Day

9 hours ago

Fresno Air Improves. Where Does It Rank in the US?

9 hours ago

As Harris Ponders Run for CA Governor, Is She Prepared for the Daunting Job?

9 hours ago

Stocks Rise With Tech-Related Shares, Notch Weekly Gains; Dollar Up

10 hours ago

Conflicting US-China Talks Statements Add to Global Trade Confusion

10 hours ago

Driving Near the Fresno Airport Next Week? Plan for Road Closures

10 hours ago

Misty Her: Push for Fresno Unified Turnaround Starts Now With ‘Boots on the Ground’

11 hours ago

Fresno Police Arrest 17 in Domestic Violence Crackdown

11 hours ago

What’s Next for Fresno Smoke Shop Ordinance: Lawsuit, Veto, Override?

12 hours ago

Virginia Giuffre, Voice in Epstein Sex Trafficking Scandal, Dies at 41

Virginia Giuffre, a former victim of Jeffrey Epstein’s sex-trafficking ring who said she was “passed around like a platter of fruit” as a te...

5 hours ago

Virginia Roberts Giuffre speaks to reporters in New York on Aug. 27, 2019. Giuffre, a former victim of Jeffrey Epstein’s sex-trafficking ring who said she was “passed around like a platter of fruit” as a teenager to rich and powerful predators, including Prince Andrew of Britain, died on Friday at her farm in Western Australia. She was 41. (Jefferson Siegel/The New York Times)
5 hours ago

Virginia Giuffre, Voice in Epstein Sex Trafficking Scandal, Dies at 41

8 hours ago

California Proposes Allowing Testing of Self-Driving Heavy-Duty Trucks

8 hours ago

Higher Taxes on Millionaires? Trump Says He’s Open, but Many in His Party Are Not

8 hours ago

Ex-US Rep. George Santos Sentenced to Over 7 Years in Prison for Fraud and Identity Theft

Selma Mayor Scott Robertson (left) has been charged with misdemeanor electioneering for allegedly campaigning near voters at a polling place during the November 2024 election. (Facebook)
9 hours ago

Selma Mayor Charged With Electioneering Violation on Election Day

9 hours ago

Fresno Air Improves. Where Does It Rank in the US?

9 hours ago

As Harris Ponders Run for CA Governor, Is She Prepared for the Daunting Job?

10 hours ago

Stocks Rise With Tech-Related Shares, Notch Weekly Gains; Dollar Up

Help continue the work that gets you the news that matters most.

Search

Send this to a friend